Kuwait – A Kuwaiti investment broker sued by the Securities and
Exchange Commission (SEC) for
spreading false takeover reports to bid up companies’ stock prices, including
the price of Harman International stock, was found dead in his home here, the
Dow Jones Newswires reported.
The SEC charged that
Hazem Khalid al-Braikan traded false news reports of a tender offer by a Middle East
investment group to acquire Harman at $49.40/share, the SEC
“A phony press release publicizing the hoax offer was faxed
to media outlets on Sunday, July 19, and subsequently reported on the Internet
on Monday, July 20, before the stock market opened,” the SEC noted.
Because of the false report, Harman’s share price climbed more
than 40 percent in pre-market trading from the previous trading day’s $25.18.
When Harman repudiated
the offer shortly before the market opened, the share price dropped sharply and
closed the day at $20.86, the SEC